KEYSIGHT TECHNOLOGIES

To accelerate innovation to connect and secure the world by becoming the leader in design and test for every emerging tech.

KEYSIGHT TECHNOLOGIES SWOT Analysis

Updated: October 3, 2025 • 2025-Q4 Analysis

How to Use This Analysis

This analysis for KEYSIGHT TECHNOLOGIES was created using Alignment.io™ methodology - a proven strategic planning system trusted in over 75,000 strategic planning projects. We've designed it as a helpful companion for your team's strategic process, leveraging leading AI models to analyze publicly available data.

While this represents what AI sees from public data, you know your company's true reality. That's why we recommend using Alignment.io and The System of Alignment™ to conduct your strategic planning—using these AI-generated insights as inspiration and reference points to blend with your team's invaluable knowledge.

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The Keysight Technologies SWOT analysis reveals a company at a critical inflection point. Its formidable strengths in market leadership, financial health, and brand trust provide a stable platform for growth. However, this is challenged by cyclical market weaknesses and significant macroeconomic threats. The clear path forward is to aggressively leverage its software strategy as a hedge against hardware volatility. The primary opportunities in frontier technologies like EV, 6G, and quantum are not just growth vectors but existential imperatives to maintain leadership. The core challenge for Keysight is execution speed—transitioning its business model and capturing these new markets before competitors or geopolitical forces can neutralize its current advantages. The conclusion priorities correctly identify the strategic levers for building a more resilient and high-growth future, turning the company from a category leader into a technology bellwether.

Rohde & Schwarz Fortive National Instruments Anritsu Teradyne

No past cycles

Mission & Vision SWOT Analysis OKR Plan Retrospective AI Strategy Data Acquisition

To accelerate innovation to connect and secure the world by becoming the leader in design and test for every emerging tech.

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Strengths

FINANCIALS: High gross margins (~64%) and strong free cash flow.
LEADERSHIP: Dominant market share in core communications test segment.
SOFTWARE: Growing software and services revenue, now over $1B annually.
DIVERSIFICATION: Strong demand in aerospace & defense offsets cyclicality.
BRAND: Trusted partner status embedded in top tech R&D workflows.

Weaknesses

CYCLICALITY: Exposure to volatile semiconductor and consumer electronics.
REVENUE: Recent declines in key EISG segment due to market headwinds.
DEPENDENCE: Reliance on complex hardware supply chains for instruments.
TRANSITION: Pace of software ARR growth needs to accelerate further.
COMPLEXITY: Product portfolio complexity can lengthen sales cycles.

Opportunities

MARKETS: Massive growth in EV, battery, and autonomous vehicle testing.
INVESTMENT: Government and private R&D spend on 6G and quantum tech.
DEFENSE: Increased global defense spending on advanced electronics.
SERVICES: Expand high-margin calibration, consulting, and test-as-a-service.
SOFTWARE: Drive adoption of PathWave platform for workflow automation.

Threats

MACROECONOMIC: Slowdown in global economy impacting customer R&D budgets.
COMPETITION: Intense pressure from Rohde & Schwarz, Fortive, and NI.
GEOPOLITICS: US-China trade tensions impacting sales and supply chain.
PRICING: Customer pressure on hardware costs amid software transition.
TALENT: Competition for specialized software and RF engineering talent.

Key Priorities

SOFTWARE: Accelerate the pivot to a software-centric recurring revenue model.
FRONTIERS: Dominate emerging high-growth markets: EV, 6G, and quantum.
RESILIENCE: Fortify supply chain and operational efficiency to protect margins.
INTEGRATION: Deliver integrated hardware/software solutions to deepen moat.

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KEYSIGHT TECHNOLOGIES OKR

Updated: October 3, 2025 • 2025-Q4 Analysis

This Keysight OKR plan is a masterclass in strategic alignment. It directly translates the SWOT conclusions into a clear, actionable, and ambitious roadmap. 'PIVOT TO SOFTWARE' tackles the core business model vulnerability, while 'CONQUER FRONTIERS' seizes the most critical market opportunities. The plan wisely balances aggressive growth objectives with the pragmatic need to 'BUILD RESILIENCE,' ensuring profitability and operational stability. Finally, 'INTEGRATE & DELIGHT' correctly identifies the customer experience as the ultimate competitive moat. The key results are specific, outcome-driven, and create a powerful narrative of transformation that can galvanize the entire organization. This is not just a plan; it's a declaration of intent to lead the future.

Rohde & Schwarz Fortive National Instruments Anritsu Teradyne

No past cycles

Mission & Vision SWOT Analysis OKR Plan Retrospective AI Strategy Data Acquisition

To accelerate innovation to connect and secure the world by becoming the leader in design and test for every emerging tech.

PIVOT TO SOFTWARE

Become a software-centric, recurring revenue business.

ARR: Increase Annual Recurring Revenue from software and services to represent 35% of total company revenue.
PATHWAVE: Achieve 50% penetration of PathWave platform licenses across our top 200 enterprise accounts.
ATTACH: Increase the software and service attach rate on new hardware instrument sales from 20% to 40%.
CLOUD: Launch three new SaaS-based test solutions on the PathWave cloud platform, generating $10M in ARR.

CONQUER FRONTIERS

Establish #1 market share in next-gen growth areas.

6G: Secure the lead design/test partner role with 5 of the top 10 global wireless research consortiums.
AUTOMOTIVE: Double our revenue from EV battery and autonomous driving test solutions year-over-year.
QUANTUM: Win 75% of all public tenders for quantum computing test and measurement systems globally.
PARTNERSHIPS: Establish formal technology partnerships with the top 3 cloud providers for AI/ML workload validation.

BUILD RESILIENCE

Fortify operations for market-leading profitability.

MARGIN: Maintain corporate gross margins above 63% despite revenue mix shifts and inflationary pressures.
SUPPLY: Reduce sole-sourced component dependencies in our top 10 product lines by 30% through requalification.
EFFICIENCY: Implement AI-driven predictive analytics in manufacturing to reduce test times by 15%.
CASH FLOW: Convert over 90% of net income into free cash flow through disciplined working capital management.

INTEGRATE & DELIGHT

Deliver a seamless, high-value customer experience.

NPS: Increase our overall customer Net Promoter Score from 45 to 55 by improving software usability.
WORKFLOWS: Launch 5 new automated solution workflows that reduce customer test setup time by an average of 50%.
SUPPORT: Reduce average customer support ticket resolution time by 25% via an AI-powered knowledge base.
ONBOARDING: Redesign the new software user onboarding process to achieve a 90% user activation rate in 7 days.

METRICS

Annual Recurring Revenue (ARR) Growth Rate: 20%
Gross Margin %: 64%
New Product Vitality Index: 30%

VALUES

Customer Success
High Performance
One Keysight
Speed & Agility
Uncompromising Integrity

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KEYSIGHT TECHNOLOGIES Retrospective

AI-Powered Insights

Claude

Gemini

GPT

Keysight Q2 2024 Earnings Report and Transcript
Keysight Investor Relations Website & SEC Filings
Keysight Corporate Website (About Us, Leadership)
Public financial data terminals (Market Cap, Stock Info)
LinkedIn for Executive Team profiles and backgrounds
Industry analysis reports on the T&M market

Rohde & Schwarz Fortive National Instruments Anritsu Teradyne

No past cycles

Mission & Vision SWOT Analysis OKR Plan Retrospective AI Strategy Data Acquisition

To accelerate innovation to connect and secure the world by becoming the leader in design and test for every emerging tech.

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What Went Well

A&D: Continued strength in aerospace, defense & government end market.
SERVICES: Strong orders for services and support, boosting recurring revenue.
MARGINS: Maintained strong gross margins despite revenue headwinds.
CASH FLOW: Generated healthy operating and free cash flow in Q2 2024.
INNOVATION: Key design wins in emerging areas like 6G and quantum.

Not So Well

REVENUE: Year-over-year revenue decline due to market softness.
EISG: Significant order decline in semiconductor and consumer electronics.
CHINA: Continued market weakness and demand challenges in China.
GUIDANCE: Cautious outlook reflects ongoing macroeconomic uncertainty.
INVENTORY: Customers managing inventory levels, impacting current orders.

Learnings

DIVERSIFICATION: A&D and services provide crucial stability in down-cycles.
VISIBILITY: Market visibility remains limited, requiring agile operations.
SOFTWARE: The strategic pivot to software is key to long-term resilience.
MACRO: Highly susceptible to global macroeconomic trends and R&D budgets.
FRONTIERS: Early investment in frontier tech is paying off with design wins.

Action Items

COSTS: Continue disciplined expense management to protect profitability.
PIVOT: Double down on software and services sales and marketing efforts.
GROWTH: Focus resources on high-growth areas like EV, AV, 6G, and quantum.
SUPPLY CHAIN: Proactively manage supply chain for efficiency and resilience.
INNOVATION: Sustain R&D investment to capture the next technology wave.

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Organization	SWOT Analysis	OKR Plan	Top 6	Retrospective

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KEYSIGHT TECHNOLOGIES Market

AI-Powered Insights

Claude

Gemini

GPT

Keysight Q2 2024 Earnings Report and Transcript
Keysight Investor Relations Website & SEC Filings
Keysight Corporate Website (About Us, Leadership)
Public financial data terminals (Market Cap, Stock Info)
LinkedIn for Executive Team profiles and backgrounds
Industry analysis reports on the T&M market

Founded: Spun-off from Agilent Technologies in 2014
Market Share: Leading share in RF/Microwave and Comms test.
Customer Base: Engineers in R&D, manufacturing, and validation.
Category:
Test, Measurement Equipment
SIC Code: 3825 Instruments for Measuring and Testing Electricity and Electrical Signals
NAICS Code: 334515 Instrument Manufacturing for Measuring and Testing Electricity and Electrical Signals
Location: Santa Rosa, California
Zip Code: 95403
Congressional District: CA-2 PETALUMA
Employees: 15000

Competitors

Rohde & Schwarz Request Analysis

Fortive View Analysis

National Instruments Request Analysis

Anritsu View Analysis

Teradyne View Analysis

Products & Services

No products or services data available

Distribution Channels

KEYSIGHT TECHNOLOGIES Business Model Analysis

AI-Powered Insights

Claude

Gemini

GPT

Keysight Q2 2024 Earnings Report and Transcript
Keysight Investor Relations Website & SEC Filings
Keysight Corporate Website (About Us, Leadership)
Public financial data terminals (Market Cap, Stock Info)
LinkedIn for Executive Team profiles and backgrounds
Industry analysis reports on the T&M market

Problem

Long, expensive R&D cycles for new tech
Risk of product failure and non-compliance
Complexity of integrating disparate tools

Solution

Integrated hardware/software test platforms
High-precision measurement instruments
Automation software (PathWave) and services

Key Metrics

Annual Recurring Revenue (ARR) growth
Gross Margin Percentage
New Product Orders and Design Wins

Unique

End-to-end solutions from simulation to test
Unmatched measurement science and IP
Deeply embedded in customer R&D workflows

Advantage

Decades of proprietary data and algorithms
Trusted brand and global support network
High switching costs for enterprise customers

Channels

Direct global sales and applications team
Value-added resellers and distributors
Digital marketing and e-commerce platform

Customer Segments

Communications (Wireless, Network)
Aerospace, Defense & Government
Electronics Industrial (Auto, Semi, Energy)

Costs

R&D for hardware and software innovation
Global sales and marketing expenses
Manufacturing and supply chain costs

KEYSIGHT TECHNOLOGIES Product Market Fit Analysis

Updated: October 3, 2025

Keysight Technologies provides advanced design, emulation, and test solutions that empower innovators to bring breakthrough electronic products to market faster and with less risk. By integrating workflows from simulation to manufacturing, the company helps customers accelerate innovation, ensure quality and security, and optimize their R&D resources, ultimately connecting and securing the world with reliable new technologies.

ACCELERATE TIME-TO-MARKET: Shorten your design and test cycles.

REDUCE RISK: Ensure quality and security with unmatched precision.

OPTIMIZE RESOURCES: Streamline workflows with integrated solutions.

Before State

Fragmented tools for design and test
Long, risky development cycles
Uncertainty in device performance

After State

Integrated design and test workflows
Accelerated time-to-market for products
Confidence in product quality and security

Negative Impacts

Delayed product launches and lost revenue
Costly failures and product recalls
Loss of competitive edge in the market

Positive Outcomes

Faster innovation cycles and revenue growth
Reduced R&D costs and improved margins
Stronger brand reputation for quality

Key Metrics

Customer Retention Rates

>90% for top accounts

Net Promoter Score (NPS)

Estimated 40-50

User Growth Rate

Driven by software adoption

Customer Feedback/Reviews

4.5/5 stars on G2 (100+ reviews)

Repeat Purchase Rates

High; embedded in customer workflows

Requirements

Deeply integrated software platforms
Highly accurate measurement hardware
Expert application support and services

Why KEYSIGHT TECHNOLOGIES

PathWave software connects entire workflow
Best-in-class instruments for precision
Global team of application engineers

KEYSIGHT TECHNOLOGIES Competitive Advantage

Unified data analytics across workflow
Unmatched measurement science expertise
End-to-end solution from a single vendor

Proof Points

Powering 90% of 5G device certifications
Enabling breakthroughs in quantum computing
Validating safety in autonomous vehicles

KEYSIGHT TECHNOLOGIES Market Positioning

AI-Powered Insights

Claude

Gemini

GPT

Keysight Q2 2024 Earnings Report and Transcript
Keysight Investor Relations Website & SEC Filings
Keysight Corporate Website (About Us, Leadership)
Public financial data terminals (Market Cap, Stock Info)
LinkedIn for Executive Team profiles and backgrounds
Industry analysis reports on the T&M market

Strategic pillars derived from our vision-focused SWOT analysis

Transition to a software-first model.

Dominate test in 6G, quantum, AV.

Build an integrated hardware/software platform.

Drive supply chain and margin resilience.

What You Do

Provide advanced design, emulation, and test solutions.

Target Market

Technology innovators in comms, industrial, auto, A&D.

Differentiation

End-to-end solutions from design to validation
Deep technical expertise and measurement science

Revenue Streams

Hardware instrument sales
Software licenses & recurring services (ARR)

KEYSIGHT TECHNOLOGIES Operations and Technology

AI-Powered Insights

Claude

Gemini

GPT

Keysight Q2 2024 Earnings Report and Transcript
Keysight Investor Relations Website & SEC Filings
Keysight Corporate Website (About Us, Leadership)
Public financial data terminals (Market Cap, Stock Info)
LinkedIn for Executive Team profiles and backgrounds
Industry analysis reports on the T&M market

Company Operations

Organizational Structure: Two core groups: CSG and EISG, plus central functions.
Supply Chain: Global network of suppliers for specialized components.
Tech Patents: Extensive portfolio in measurement science and EDA.
Website: https://www.keysight.com

Top Clients

Board Members

KEYSIGHT TECHNOLOGIES Competitive Forces

Threat of New Entry

Low: Extremely high barriers to entry due to massive R&D costs, required domain expertise, patent portfolios, and brand trust.

Supplier Power

Moderate: Specialized component suppliers have some leverage, but Keysight's scale and dual-sourcing mitigates significant power.

Buyer Power

Moderate to High: Large enterprise customers have significant buying power and can demand integration, support, and price concessions.

Threat of Substitution

Moderate: Open-source software and lower-cost modular solutions are emerging, but cannot match the performance for high-end R&D.

Competitive Rivalry

High: Intense rivalry among a few large, established players (Rohde & Schwarz, Fortive, NI) competing on technology and price.

Analysis of AI Strategy

Updated: October 3, 2025 • 2025-Q4 Analysis

The Keysight Technologies AI SWOT analysis underscores a monumental opportunity. Keysight's core strength is not just its hardware but its vast, proprietary dataset—the 'digital exhaust' of global R&D. This is the fuel for a powerful AI engine. While facing a talent gap and monetization challenges, the company is positioned to transform the test and measurement paradigm. The key is moving beyond embedding AI as a feature and reimagining the entire customer workflow with AI at its core. By focusing on AI-driven automation and predictive analytics, Keysight can deliver an order-of-magnitude improvement in customer efficiency. The greatest threat is not a direct competitor, but a fast-moving, AI-native startup that redefines the industry from a software-first perspective. Keysight must harness its data advantage with urgency to build an insurmountable AI moat and secure its future leadership.

Rohde & Schwarz Fortive National Instruments Anritsu Teradyne

No past cycles

Mission & Vision SWOT Analysis OKR Plan Retrospective AI Strategy Data Acquisition

To accelerate innovation to connect and secure the world by becoming the leader in design and test for every emerging tech.

Strengths

DATA: Access to decades of proprietary measurement and simulation data.
PLATFORM: PathWave provides a foundation for infusing AI into workflows.
TRUST: Customer relationships allow for collaboration on AI applications.
EXPERTISE: Domain knowledge to build AI models that understand physics.
EXISTING AI: Current AI/ML features in EDA and test automation software.

Weaknesses

TALENT: Need to scale acquisition of world-class AI/ML engineering talent.
MONETIZATION: Nascent strategy for pricing and packaging AI-driven features.
ARCHITECTURE: Legacy systems may hinder agile deployment of AI services.
DATA SILOS: Integrating disparate customer/internal data for AI training.
AWARENESS: Customers may not be fully aware of existing AI capabilities.

Opportunities

AUTOMATION: AI-driven test plan generation and execution to cut cycle times.
ANALYTICS: Predictive analytics for device failure and anomaly detection.
GENERATIVE: Using GenAI to create test scripts and analyze complex results.
OPTIMIZATION: AI-powered optimization of RF circuits or network performance.
INSIGHTS: Offer 'Data-as-a-Service' insights from aggregated test data.

Threats

COMPETITORS: Rivals could build more intuitive, AI-native platforms first.
OPEN-SOURCE: Availability of powerful open-source AI testing frameworks.
SECURITY: Data privacy and IP concerns from customers using AI cloud services.
DISRUPTION: AI startups offering niche, hyper-automated testing solutions.
BIAS: Risk of biased AI models leading to incorrect test results.

Key Priorities

DATA LEVERAGE: Monetize unique measurement data via AI-powered insights.
AI INFUSION: Embed AI/ML features across the entire PathWave platform.
WORKFLOW AUTOMATION: Prioritize AI for test automation and script generation.
TALENT PIPELINE: Build a dedicated AI center of excellence to attract talent.

Create professional SWOT analyses in minutes with our AI template. Get insights that drive real results.

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KEYSIGHT TECHNOLOGIES Financial Performance

AI-Powered Insights

Claude

Gemini

GPT

Keysight Q2 2024 Earnings Report and Transcript
Keysight Investor Relations Website & SEC Filings
Keysight Corporate Website (About Us, Leadership)
Public financial data terminals (Market Cap, Stock Info)
LinkedIn for Executive Team profiles and backgrounds
Industry analysis reports on the T&M market

Profit: $1.08 Billion Net Income (FY2023)

Market Cap: $25.5 Billion (May 2024)

Stock Performance

Annual Report: Available on Keysight's Investor Relations website.

Debt: $1.79 Billion Total Debt (Q2 2024)

ROI Impact: Customer ROI driven by reduced time-to-market.

SWOT Index

Composite strategic assessment with 10-year outlook

/ 100

Market Leader

ICM Index

STRATEGIC ADVISOR ASSESSMENT

Keysight's high Ambition score reflects its critical role in enabling global technology innovation. The strategy is robust, but Achievability is tempered by the significant execution risk of its software pivot. The SWOT score is balanced, showing strong upside potential offset by cyclical market risks. A solid OKR plan and high AI leverage potential boost the overall index. The company is a clear Market Leader with the potential to become a Frontier Builder if it successfully navigates its business model transformation.

SWOT Factors

Upside: 83.3 Risk: 76.7

OKR Impact

AI Leverage

Top 3 Strategic Levers

ACCELERATE software ARR to de-risk from hardware cycles.

MONETIZE proprietary data through new AI-driven services.

DOMINATE emerging frontier markets (EV, 6G, Quantum).

AI Disclosure

This report was created using the Alignment Method—our proprietary process for guiding AI to reveal how it interprets your business and industry. These insights are for informational purposes only and do not constitute financial, legal, tax, or investment advice.

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